The official blog of Illinois Issues magazine,
published by the Center for State Policy and Leadership
at the University of Illinois Springfield

Thursday, February 21, 2013

Plan to regulate fracking has broad support in the House

By Jamey Dunn

After a bipartisan bill to regulate hydraulic fracturing
stalled last year, supporters think they have a better chance at success with a
new plan.

Hydraulic fracturing, which is commonly referred to as
fracking, is achieved by pumping water mixed with sand and chemicals through a
well into rock that holds a carbon fuel, such as oil or natural gas. The water
creates pressure, which fractures the rock or opens up pre-existing cracks. The
sand holds the cracks open so the gas and/or oil can be extracted. It has been
done since the 1930s. But recently, fracking has been coupled with horizontal
drilling, which allows gas and oil companies to drill down into the earth and
then permeate rock along a horizontal line, which is sometimes miles long. The
marrying of the two technologies has allowed for projects that are much larger
in scale.

The combined practice is not specifically regulated in
Illinois, but many lawmakers, environmentalists and regulators agree it is
coming to the state. Two Illinois rock formations, the New Albany Shale in the
southeast and the Maquoketa Group Shale in the north, could potentially hold
carbon fuels. Energy companies across the nation have spent hundreds of
thousands of dollars to lease mineral rights for land above these formations,
mainly in southern Illinois. “We don’t have regulations in the state of Illinois,
we don’t have laws that will deal with horizontal fracking,” said Chicago
Democratic Rep. Barbara Flynn Curry. She said that fracking could start in the
state at any time without a bureaucratic system to regulate it or bar certain
practices.

House Bill 2615 has a
broad coalition of supporters, including Republicans, Democrats, environmental
groups, unions and representatives of the coal and natural gas industry. The
bill would create a permitting and regulatory system for horizontal fracking.
It would not apply to vertical fracking wells. The measure would:

Set standards for the cement casings that are put into wells
to prevent leakage of fracking fluid.

Require water testing before and after hydraulic fracturing
wells are constructed.

If water pollution
were detected near a fracking wells, it would be the owners’ responsibility to
prove that it was not caused be the well. “We have crafted a piece of
legislation, which first and foremost protects our water supply and the
communities and families of southern Illinois but allows an industry to develop
in a responsible manner for the creation of thousands of jobs and the potential
for tens of millions of dollars of revenue for the state of Illinois,” said
Marion Democratic Rep. John Bradley, who sponsors the bill.

Willow Hill Republican Rep. David Reis, who also sponsors
the measure, said that fracking revenues could help bolster the state’s
struggling budget. “This is historic from an economic standpoint. We know we
have to put the safeguards in place, and we’ve done that with this [bill]. But
the revenue that this is going to generate for the entire state of Illinois
through income taxes and severance taxes — that we’re still going to negotiate
— reoccurring sales taxes is going to be maybe one of the things we need to get
out of our financial challenges that we face in this state.”

Environmental groups that worked on the bill say they do not
support the practice, which has vocal detractors in other states that already
have horizontal fracking operations, coming to the Illinois. “In the
environmental community, we have a lot of concerns about what fracking is going
to bring to Illinois, and when we look at some of the controversies that have
happened in other parts of the country, there’s a real need for us to prepare
for that,” said Jack Darin, director of the Illinois chapter of the Sierra
Club. But they say fracking in Illinois may be inevitable, and they want to
make sure that there are regulations in place when that day comes. “We
understand that the industry is coming to Illinois ... and I think we all
understand that our current set of rules and regulations and laws are not up to
the task of looking at the potential impacts from this industry.”

But those who support a moratorium on fracking disagree. “Fracking
is not inevitable,” said Liz Patula, coordinator of Southern Illinoisans
Against Fracturing Our Environment (SAFE). Senate Bill 1418 calls for a ban on
horizontal fracking and the creation of a task force to study the issue. Patula
called the move a “common sense” approach. “The idea of just writing a
regulatory bill out of fear, that doesn’t make any sense.”

Patula said SAFE has several concerns with the bill. “The
idea that the bill is written on so-called best practices in other states —
well, that hasn’t exactly worked in other states.” She said that any fracking
regulation should allow for local controls, including local bans on fracking.
SAFE plans to do a comprehensive analysis of the legislation in the coming
weeks. Patula said there is also worry that the state lacks the funds and
manpower to enforce the proposed regulations. The Department of Natural
Resources would be responsible for much of the permitting process. The
legislature recently passed a funding package for DNR, which included an
increase to license plate fees, because the agency lacked the funds to keep up
with maintenance of the state’s parks.

“Whatever is written, how could it
possibly be enforced?” Patula asked. SB 2615 does not address the fees that
would be paid by licensees. Bradley said the need for additional funding and
manpower to regulate the new industry would be a consideration when negotiating
such costs. “We’re going to have to figure out in the process of coming up with
permits and applications. We’re going to have to make sure that they have
sufficient funding in order to process the increased amount of work.”

Bradley said he
thinks horizontal fracking could start in Illinois by the end of the year. “The
pressure is on for the state of Illinois." He said he hopes to move
through the process soon and not wait until the end of the spring legislative
session to get it passed.

Gov. Pat Quinn supports SB 2615. “Today’s proposal is
good news for southern Illinois and our entire state’s economy. This
legislation has the potential to bring thousands of jobs to southern Illinois,
while also ensuring that Illinois has the nation’s strongest environmental
protections,” Quinn said in a prepared statement. “I am committed to creating
jobs and economic growth in every part of Illinois and always making sure our
water and natural resources are protected for future generations.”

No comments:

About Me

The bureau follows state government from the Capitol Press Room and writes articles for Illinois Issues magazine, published by the Center for State Policy and Leadership at the University of Illinois at Springfield.
Contact: illinois.issues@gmail.com